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© 2018 QTS. All Rights Reserved.

QTS Realty Trust, Inc.Investor Presentation

First Quarter 2019


QTS Realty Trust, Inc. 1

Forward Looking Statements

Some of the statements contained in this presentation constitute forward-looking statements within the meaning of the federal securities laws. Forward-looking statements relate to expectations,

beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. In particular, statements pertaining to our

capital resources, portfolio performance results of operations, anticipated growth in our funds from operations and anticipated market conditions contain forward-looking statements. In some

cases, you can identify forward-looking statements by the use of forward-looking terminology such as “may,” “will,” “should,” “expects,” “intends,” “plans,” “anticipates,” “believes,” “estimates,”

“predicts,” or “potential” or the negative of these words and phrases or similar words or phrases which are predictions of or indicate future events or trends and which do not relate solely to

historical matters. You can also identify forward-looking statements by discussions of strategy, plans or intentions.

The forward-looking statements contained in this presentation reflect our current views about future events and are subject to numerous known and unknown risks, uncertainties, assumptions

and changes in circumstances that may cause our actual results to differ significantly from those expressed in any forward-looking statement. We do not guarantee that the transactions and

events described will happen as described (or that they will happen at all). The following factors, among others, could cause actual results and future events to differ materially from those set

forth or contemplated in the forward-looking statements:

adverse economic or real estate developments in our markets or the technology industry;

obsolescence or reduction in marketability of our infrastructure due to changing industry demands;

global, national and local economic conditions;

risks related to our international operations;

our ability to successfully execute our strategic growth plan and realize its expected benefits;

difficulties in identifying properties to acquire and completing acquisitions;

our failure to successfully develop, redevelop and operate acquired properties or lines of business;

significant increases in construction and development costs;

the increasingly competitive environment in which we operate;

defaults on, or termination or non-renewal of, leases by customers;

decreased rental rates or increased vacancy rates;

increased interest rates and operating costs, including increased energy costs;

financing risks, including our failure to obtain necessary outside financing;

dependence on third parties to provide Internet, telecommunications and network connectivity to our data centers;

our failure to qualify and maintain our qualification as a REIT;

environmental uncertainties and risks related to natural disasters;

financial market fluctuations; and

changes in real estate and zoning laws, revaluations for tax purposes and increases in real property tax rates.

While forward-looking statements reflect our good faith beliefs, they are not guarantees of future performance. Any forward-looking statement speaks only as of the date on which it was made.

We disclaim any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, of new information, data or methods, future events

or other changes. For a further discussion of these and other factors that could cause our future results to differ materially from any forward-looking statements, see the section entitled “Risk

Factors” in our Annual Report on Form 10-K for the year ended December 31, 2017 (“10-K”) and in the other periodic reports we file with the Securities and Exchange Commission.

This presentation includes measures not derived in accordance with generally accepted accounting principles (“GAAP”), such as FFO, operating FFO, adjusted Operating FFO, EBITDA,

adjusted EBITDA, NOI, ROIC and MRR. These measures should not be considered in isolation or as a substitute for any measure derived in accordance with GAAP, and may also be

inconsistent with similar measures presented by other companies. Reconciliation of these measures to the most closely comparable GAAP measures are presented in the attached pages. We

refer you to the appendix of this presentation for reconciliations of these measures and to the section entitled "Management's Discussion and Analysis of Financial Condition and Results of

Operations--Non-GAAP Financial Measures" in our 10-K for further information regarding these measures..


Strategic Growth Acceleration Plan

Execution Summary



Strategic Growth Plan Execution Summary – Q3 ‘18

$

Accelerate Growth

and Leasing

Increase

Profitability

Enhance

Predictability

Highest YTD adjusted EBITDA margin

achieved in QTS history

Represents 250 basis points of margin

expansion Y/Y

14%Q3 Revenue

Growth Y/Y*

20%Q3 Adj. EBITDA

Growth Y/Y*

$52M+Annualized Rent

Signed YTD*

* Reflects results for Core business only

51.2%Q3 Adj. EBITDA

Margin*

1.1%Q3 Rental

Churn*

Among the lowest churn rates in data center

industry

YTD churn of 3.0% in line with 2018 churn

guidance of 3-5%

Churn on track to be approx. half the churn QTS

experienced in consolidated business in 2017



QTS Growth Acceleration Plan on Track

Accelerated Leasing Adjusted EBITDA

Margin Expansion

MRR Churn

Reduction

9.9 12.0

10.4

17.4

2015 2016 2017 2018 YTD

10.8M

Avg.

45.0% 45.8% 46.6%

51.2%

2015 2016 2017 2018 YTD

45.8%

Avg.

4.0%

5.6%

8.4%

4.0%

2015 2016 2017 2018 YTD

6.0%

Avg.

2

1

11

1.2018 reflects results for the Core business only. 2015-2017 reflects results for consolidated business including Core and Non-Core

2.Reflects midpoint of 2018 annual churn guidance of 3-5%

Average Quarterly Incremental

Rent Signed ($M)

Completed migration of non-core customers and services to GDT ahead of schedule with

increased contribution to growth in 2019

Broad-based strength across hyperscale and hybrid colocation verticals, with hyperscale

pipeline continuing to expand



GDT Migration Positions QTS to Accelerate Core Growth

QTS completed migration of non-core customers to GDT during Q3 ’18, with

strong success and ahead of schedule

Migration was completed ahead of schedule

QTS retained approximately 85% of

customers originally identified whose services

and support would be migrated to GDT’s

platform

Estimated core revenue contribution in 2019

from migration: $10M+

Represents an increase from expectation in Q2

of $8M+ and original stated assumption of $5M+

Completion of the customer migration de-

risks growth expectations for 2019 and

positions QTS’ platform to accelerate into a

growing opportunity within hyperscale and

hybrid colocation


• Signed new/modified leases totaling $18.1M of core incremental annualized rent

20%+ above prior four quarter average leasing of $15.0M

Strongest leasing volume through first three quarters of year in QTS’ history

Booked-not-billed backlog increased to $59M of core annualized rent as of Q3 ‘18

Core renewal rates up 2.1%, consistent with expectation for low to mid-single digit percent

price increases

• Hybrid Colocation:

Hybrid colocation business contributed approximately 2/3 of net leasing volume in Q3

Seeing uptick in hybrid colocation performance driven by:

Increase in deal size

Differentiation enabled by software-defined data center platform

Positive enterprise demand backdrop

Sales team productivity

Hybrid colocation demand strength in Atlanta, Piscataway, and Richmond


Q3 2018 Operating Performance Review



Momentum Building in Growing Hyperscale Opportunity

• Hyperscale:

Hyperscale vertical contributed approximately 1/3 of net leasing volume in Q3

Q3 hyperscale leasing volume represented 7MW between two strategic customers

Includes incremental 4MW expansion by leading SaaS customer in Manassas, VA

Continue to expect customer to ramp into full 24MW deployment over approximately

two year period

Several larger potential opportunities in pipeline that QTS is actively pursuing with both new

and existing customers

Continue to anticipate signing at least one additional larger hyperscale transaction by the

end of 2018

Manassas, VA



Improving Credit Profile and Business Visibility

Weighted Average Remaining

Customer Lease Term (Months)

Weighted Average Remaining

Top 10 Customer Lease Term (Months)

Forward Two Year Lease Expirations

as a % of Total Annualized MRR1

Signed Backlog as a % of Total

Annualized MRR

Annual Churn2

Consolidated

(Core + Non-Core)

Q4 ‘17

26

38

12%

8.4%

60%

31

47

16%

4.0%

39%

Core Business

Only

Q3 ‘18

1. Forward two year lease expirations as of Q4 ’17 reflects 2018 and 2019 for consolidated business. Forward two year lease exp irations as of Q3 ’18 reflects 2019 and 2020 for core business.2.Q4 ’17 reflects full-year 2017 reported results for consolidated business (core + non-core); Q3 ’18 reflects midpoint of 2018 annual churn guidance for core business of 3-5%



Visibility Into Future Growth Remains Strong

$59.0 $59.0 $59.0 $59.0

Q3 2018 2018 2019 2020+

$10.3

$31.6

$17.0

$59M Annualized Booked-Not-Billed Core MRR ($M)1

1. Represents annualized MRR associated with leases that have been signed but have not yet commenced; may not sum due to rounding

Highlights

Annualized booked-not-

billed core MRR from signed

but not yet commenced

leases was $59.0 million as

of September 30, 2018

Of the $10.3 million in

2018, approximately $1.7

million is expected to be

recognized in 2018 revenue

Of the $31.6 million in

2019, approximately $21.9

million is expected to be

recognized in 2019 revenue



Balance Sheet and Liquidity Summary

Net Debt to LQA

consolidated adjusted

EBITDA of 5.3x

Approximately $750 million

of liquidity, including cash

and availability under

revolving credit facility

No significant debt

maturities before 2022

$59M booked-not-billed

backlog of annualized core

revenue

More than 75% of capital

stack subject to a fixed

rate4

Market Cap$2,484M2

Series A Preferred Stock

$107M

Series B Preferred Stock

$316M

Senior Notes$400M

Unsecured Credit Facility$781M1

Capital Leases and Other$6M

1. Includes two term loans ($700 million in aggregate) and $81 million of borrowings on revolving credit facility as of September 30, 20182. Market Cap calculated as follows: total Class A and Class B common stock and OP units of 58.2 million, multiplied by the September 30, 2018 stock price of $42.67 per share.3. May not sum due to rounding4. Including Series A and Series B Preferred Stock

$4.1B Enterprise

Value

$2 $1 $0 $81

$350

$753

2018 2019 2020 2021 2022 2023+

HighlightsCapital Structure

Debt Maturities ($M)3


QTS Overview



Differentiated Capability to Drive Success in Both

Hyperscale and Hybrid Colocation

Significant Growth Capacity – 1.3M sq. ft. of

powered shell capacity in top U.S. markets with

ability to scale quickly and efficiently

Operating and Build Cost Advantage – Low basis

focus & mega scale approach provide permanent

cost advantage

New Market Expansion in NoVA, Phoenix and

Hillsboro – Provides future growth capacity in

markets where hyperscale customers want to be

Premium Customer Experience and Service

Delivery – Software-defined platform and service

delivery track record provide further differentiation

for hyperscale customers

Software-Defined Data Center Platform – Provides

infrastructure visibility and dynamic control to customers

Enhanced Hybrid Solutions through Integrated

Partners – Strategic partnerships with technology and IT

services providers expand hybrid colocation opportunity

Seamless Connectivity – SDN-enabled universal

connectivity to carriers, service providers and CSP’s

High-End Security and Compliance – Dedicated team

to help enterprises mitigate cybersecurity risks

Premium Customer Experience – Portfolio of managed

services and industry-leading net promoter scores

World-Class Infrastructure & Mega Data Centers Hybrid Colocation Platform

Customers Need

Scale

QTS Solutions QTS Solutions

Speed Economics Secure &

Compliant

HyperscaleCustomers Need

Hybrid Colocation

Integrated

Hybrid Solutions

Seamless

Connectivity

Premium

Customer Service

Secure &

Compliant



Uniquely Positioned Where CIOs Are Investing The Most

Top Technology Areas Attracting New SpendingWhat are the technology areas where your organization will be spending

the highest amount of new or additional funding in 2018?*

QTS is able to solve

Enterprises’ top IT needs

Hybrid Cloud Solutions

Data Center Infrastructure

Cybersecurity

SOFTWARE-DEFINED DATA

CENTER PLATFORM

delivers flexibility and product

capability to provide hybrid data

center solutions

WORLD-CLASS

MEGA DATA CENTERS

provide visibility into significant

future growth capacity

INDUSTRY-LEADING

SECURITY & COMPLIANCE

capabilities enable QTS to be

customers’ trusted partner to help

manage risk

1.

2.

3.

*Reflects results from Gartner survey of 2,496 Enterprise CIOs published March 9, 2018 entitled, “2018 CIO Agenda: A U.S. Perspective.”



Broad Footprint Focused On Top Data Center Markets

2.7 million sq. ft. of raised floor capacity1 and 670+ MW of available utility power2

1. Represents basis-of-design floor space as of September 30, 2018. The Company defines basis-of-design floor space as the total data center raised floor potential of its existing data center facilities.

2. Represents installed utility power and transformation capacity that is available for use by the facility as of September 30, 2018.

3. Based on data center raised floor. Does not include data centers subject to capital lease obligations. Includes Santa Clara, CA which is subject to a long-term ground lease.

26 DATA CENTERS MARKETS WHOLLY-OWNED314 95%



Powered Shell Capacity Represents 5+ Years of Growth

1. Full Buildout reflects our “Basis of Design” NRSF at full buildout, including 66,324 basis-of-design square feet currently in development in Manassas, VA; does not include additional development

which could take place on adjacent, owned land.

Capacity to nearly double

raised floor in existing

powered shell and current

developments

Able to approximately double

raised floor capacity again

through development on 600+

acres of adjacent, owned land

and real estate

De-risks future growth path at

known build costs and higher

incremental returns

1.3M Sq. Ft. Additional Capacity

in Existing Powered Shell

2,744

54%currently

built out

1,476Full

Capacity

As of Q3 ‘18 Full Buildout1

(Rais

ed F

loor

NR

SF

in

000s)

2,744

1,268

As of IPO

1,805

41%built out

741



Best-in-Class “Mega” Data Centers

205,608 Sq. Ft.

100% Built Out

205,608 Sq. Ft.

ROIC: 27.2%2 Occupied: 94.1%

477,986 Sq. Ft.

91% Built Out

527,186 Sq. Ft.


167,309 Sq. Ft.

30% Built Out

557,309 Sq. Ft.


Atlanta-Suwanee, GA

36MW

Atlanta-Metro, GA

120MW1

Richmond, VA

110MW

168,160 Sq. Ft.

61% Built Out

275,701 Sq. Ft.


93,820 Sq. Ft.

53% Built Out

176,000 Sq. Ft.


40,000 Sq. Ft.

19% Built Out

215,855 Sq. Ft.


Piscataway, NJ

111MWChicago, IL

55MW3

Irving, TX

140MW

Note: Square footage reflects current Raised Floor Operating Net Rentable Square Feet (“NRSF”) as of September 30, 2018 (red shaded bars) and “Basis of Design” Raised Floor NRSF at full buildout. MW denotes

available utility power as of September 30, 2018. Occupied percentage as of September 30, 2018.

1. Atlanta -Metro currently has 72 MW of available utility power based on current agreements with its utility provider but has transformer capacity for 120 MW.

2. ROIC calculated by dividing annualized core NOI for the quarter ended September 30, 2018 by the average total cost, less construction in progress for the quarters ended September 30, 2018 and June 30, 2018.

3. 8MW available utility power as of September 30, 2018, with an additional 47 MW available upon QTS request.



Mega Scale & Hybrid Colocation Platform Enable

Premium ROIC Potential

Irving, TX

4 Years

Richmond, VA

7 Years

Atlanta, GA

11 YearsSuwanee, GA

12 Years

Years in Operation

12.6%ROIC

17.2%ROIC

27.2%ROIC

Piscataway, NJ

2 Years

10.9%ROIC

ROIC

12.1%

Chicago, IL

2 Years

7.6%ROIC

% OF

CAPACITY

BUILT OUT

91% Built Out30% Built Out61% Built Out53% Built Out19% Built Out 100% Built Out

Mega Data Center Lifecycle

Note: ROIC calculated by dividing annualized core NOI for the quarter ended September 30, 2018 by the average total cost, less construction in progress for the quarters ended September 30, 2018 and June 30, 2018.

Combination

of operating

leverage +

higher Hybrid

Colocation

penetration

over the life

of a mega

scale data

center drives

higher ROIC



Strong Competitive Positioning in Atlanta

Atlanta market strengthening

Atlanta continues to build momentum as Tier 1 market based on low power cost, low natural disaster

risk, fiber availability and concentration of corporate HQ’s

New legislation outlining tax incentives for data centers – Georgia House Bill 696

- Culmination of four years of work by QTS, in coordination with Technology Association of Georgia

- Further establishes Atlanta as destination for data center deployment

- Will provide incremental economic incentives to QTS as well as existing and new customers

In October 2018, QTS closed on the acquisition of 55 acres adjacent to existing Atlanta-Metro site

- Enables QTS to expand downtown Atlanta campus by an incremental 150+ megawatts

Incumbent competitive advantage with significant growth opportunity

670k sq. ft. of raised floor capacity built

enables significant operating leverage

120MW owned substation enables QTS to

offer the lowest cost of power in Atlanta

540+ embedded customer base

Atlanta generating 20%+ average ROIC 87 acres of adjacent owned land enables

future growth capacity

Atlanta-Metro site is one of the most

strategic, interconnected in Southeast

Capacity to expand to 733k sq. ft. of

raised floor under existing powered shell

2,000+

cross connects



The QTS Hyperscale Advantage

* JLL Global Data Center Outlook 2018



QTS Software Defined Data Center Platform

Over 15,000 SDP Users | 15+ Integrated Partners | 90M Data Points Collected Per Day

Service Delivery Platform provides QTS the

first true Software Defined Data Center

QTS building with our partners,

taking neutral approach



QTS Service Delivery Platform - Third Party Feedback

On how they leverage SDP Today:

“SDP allowed us to review over and under-subscribed

cabinets in real-time, enabling us to shift infrastructure

or increase our density.”

VP of IT(Multi-National Bank)

IT Director(Clean Energy Automotive

Manufacturer)

Product Manager(Communications Service

Provider Partner)

Customers and Partners Industry Analysts

On using SDP for their Customers:

“The Power Analytics App is a game-changer. Most of

your competitors take 3 weeks to provide this data

to our Customers.”

On how SDP drove the selection of QTS:

“There was not a close 2nd in our evaluation. The

innovation of SDP combined with Solution Portability

and NPS made this an easy decision.”

“”

You are showing things that have been on

my clients’ wish list for quite some

time….mostly what they get from your

competitors is a really limited subset of

what you’ve just shown

On QTS’ Power & Sensor

Real-Time Analytics

Research Vice President, Infrastructure Strategies

Group – Industry Leading Research & Advisory Firm

“”

The API and programmatic approach,

being able to bridge into the physical world

is very attractive…. I see differentiation

here

On how QTS’ SDP Platform

Interacts with Customers

Research Director, Cloud Service Provider Group –

Industry Leading Research & Advisory Firm

“”

You have cemented yourselves as the

provider that is pushing the boundaries in

development and service delivery. It’s

clear you are more than just a colo provider

On QTS’ vision for Hybrid Colocation

Research Vice President, Technology Service Provider

Group – Industry Leading Research & Advisory Firm


Appendix

© 2018 QTS. All Rights Reserved.© 2018 QTS. All Rights Reserved.


Seamless Connectivity to Hyperscale CSP’s and

Network Providers

Access to 500+

carriers and all major

public clouds

Peering Exchanges On-Net Carriers On-Net Hyperscalers SD-WAN Providers

~13,000

cross connects

Connectivity = 8% of

revenue and growing

15%+ year-over-year



Robust Security & Compliance Capabilities

The cyber threat landscape continues to grow with an

increasing number and severity of attacks1

Differentiated QTS Approach is an Advantage

LOGICAL SECURITY PHYSICAL SECURITY

Data: Encryption, policy

enforcement and security intelligence.

Network: Best-of-breed network

infrastructure.

Host: Strict security policies, cutting-edge

technology and premium support.

Site access and monitoring

systems.

24x7x365 on-site security

professionals

Premium, state-of-the-art owned

and operated data centers.

Integrated compliance coverage over a breadth of regulations

53%cyber attacks

resulting in

damages

$500K+

55%companies

managing public

scrutiny of a

BREACH

32%of companies

reporting breaches

affecting

50%+ OF

SYSTEMS

1. Reflects results from the Cisco 2018 Annual Cybersecurity Report.

Breadth of compliance

certifications &

security capabilities

enables QTS to be a

trusted partner to

Enterprises and

Government entities

looking to manage

increasing cyber risks

against their critical

systems and data



NOI Reconciliation

Three Months Ended

September 30, 2018 June 30, 2018 September 30, 2017

$ in thousands Core Non-Core Total Core Non-Core Total Core Non-Core Total

Net Operating Income (NOI)

Net income (loss) $ 7,576 $ (14,468) $ (6,892) $ 5,397 $ (11,830) $ (6,433) $ 3,790 $ 3,604 $ 7,394

Interest income (66) — (66) (25) — (25) (65) — (65)

Interest expense 6,384 2 6,386 8,199 4 8,203 7,946 12 7,958

Depreciation and amortization 36,693 1,206 37,899 35,233 2,586 37,819 32,299 3,010 35,309

Tax expense (benefit) of taxable REIT subsidiaries (409) (571) (980) 178 (41) 137 (2,454) — (2,454)

Transaction, integration and impairment costs 901 — 901 653 — 653 1,114 — 1,114

General and administrative expenses 17,732 2,191 19,923 18,004 3,028 21,032 16,076 5,576 21,652

Restructuring — 13,737 13,737 — 11,430 11,430 — — —

NOI $ 68,811 $ 2,097 $ 70,908 $ 67,639 $ 5,177 $ 72,816 $ 58,706 $ 12,202 $ 70,908



EBITDAre & Adjusted EBITDA Reconciliation

Three Months Ended



EBITDAre and Adjusted EBITDA

Net income (loss) $ 7,576 $ (14,468) $ (6,892) $ 5,397 $ (11,830) $ (6,433) $ 3,790 $ 3,604 $ 7,394

Interest income (66) — (66) (25) — (25) (65) — (65)

Interest expense 6,384 2 6,386 8,199 4 8,203 7,946 12 7,958

Tax expense (benefit) of taxable REIT subsidiaries (409) (571) (980) 178 (41) 137 (2,454) — (2,454)

Depreciation and amortization 36,693 1,206 37,899 35,233 2,586 37,819 32,299 3,010 35,309

Loss on disposition of depreciated property and impairment write-downs of depreciated property — 7,409 7,409 — 3,122 3,122 — — —

EBITDAre $ 50,178 $ (6,422) $ 43,756 $ 48,982 $ (6,159) $ 42,823 $ 41,516 $ 6,626 $ 48,142

Equity-based compensation expense 3,961 — 3,961 3,999 — 3,999 3,245 448 3,693

Restructuring costs — 6,328 6,328 — 8,308 8,308 — — —


Adjusted EBITDA $ 55,040 $ (94) $ 54,946 $ 53,634 $ 2,149 $ 55,783 $ 45,875 $ 7,074 $ 52,949



FFO, Operating FFO and Adjusted Operating

FFO Reconciliation

*The company’s calculations of Operating FFO and Adjusted Operating FFO may not be comparable to Operating FFO and Adjusted Operating FFO as calculated by other REITs that do not use the same definition

Three Months Ended



FFO

Net income (loss) $ 7,576 $ (14,468) $ (6,892) $ 5,397 $ (11,830) $ (6,433) $ 3,790 $ 3,604 $ 7,394

Real estate depreciation and amortization 34,023 556 34,579 33,093 750 33,843 30,385 852 31,237

FFO 41,599 (13,912) 27,687 38,490 (11,080) 27,410 34,175 4,456 38,631

Preferred stock dividends (7,045) — (7,045) (2,248) — (2,248) — — —

FFO available to common shareholders & OP unit holders 34,554 (13,912) 20,642 36,242 (11,080) 25,162 34,175 4,456 38,631

Debt restructuring costs — — — — — — — — —

Restructuring costs — 13,737 13,737 — 11,430 11,430 — — —


Tax benefit associated with restructuring, transaction and integration costs — (571) (571) — (41) (41) — — —

Operating FFO available to common shareholders & OP unit holders* 35,455 (746) 34,709 36,895 309 37,204 35,289 4,456 39,745

Maintenance Capex (1,660) — (1,660) (2,612) — (2,612) (2,194) — (2,194)

Leasing commissions paid (5,212) (249) (5,461) (7,600) (71) (7,671) (1,726) (3,866) (5,592)

Amortization of deferred financing costs and bond discount 959 — 959 961 — 961 992 — 992

Non real estate depreciation and amortization 2,670 650 3,320 2,140 1,836 3,976 1,914 2,158 4,072

Straight line rent revenue and expense and other (1,013) (54) (1,067) (1,300) 67 (1,233) (695) (454) (1,149)

Tax expense (benefit) from operating results (409) — (409) 178 — 178 (2,454) — (2,454)

Equity-based compensation expense 3,961 — 3,961 3,999 — 3,999 3,245 448 3,693

Adjusted Operating FFO available to common shareholders & OP unit holders* $ 34,751 $ (399) $ 34,352 $ 32,661 $ 2,141 $ 34,802 $ 34,371 $ 2,742 $ 37,113



MRR Reconciliation

Three Months Ended



Recognized MRR in the period

Total period revenues $ 107,513 $ 4,700 $ 112,213 $ 102,549 $ 9,728 $ 112,277 $ 94,159 $ 19,608 $ 113,767

Less: Total period recoveries (11,800) — (11,800) (10,444) — (10,444) (9,690) (8) (9,698)

Total period deferred setup fees (3,174) (101) (3,275) (3,073) (130) (3,203) (2,424) (235) (2,659)

Total period straight line rent and other (1,701) (2,171) (3,872) (2,022) (2,304) (4,326) (5,222) (1,760) (6,982)

Recognized MRR in the period 90,838 2,428 93,266 87,010 7,294 94,304 76,823 17,605 94,428

MRR at period end

Total period revenues $ 107,513 $ 4,700 $ 112,213 $ 102,549 $ 9,728 $ 112,277 $ 94,159 $ 19,608 $ 113,767

Less: Total revenues excluding last month (71,443) (4,416) (75,859) (67,701) (6,861) (74,562) (63,840) (13,072) (76,912)

Total revenues for last month of period 36,070 284 36,354 34,848 2,867 37,715 30,319 6,536 36,855

Less: Last month recoveries (3,896) — (3,896) (3,597) — (3,597) (2,626) (5) (2,631)

Last month deferred setup fees (1,095) — (1,095) (984) (99) (1,083) (736) (157) (893)

Last month straight line rent and other (979) 356 (623) (745) (1,139) (1,884) (366) (1,338) (1,704)

MRR at period end $ 30,100 $ 640 $ 30,740 $ 29,522 $ 1,629 $ 31,151 $ 26,591 $ 5,036 $ 31,627



Core & Non-Core Reconciliation

Note: Per share values may not sum due to rounding

Three Months Ended Three Months Ended Three Months Ended

$ in thousands except per share values September 30, 2018 June 30, 2018 September 30, 2017

Selected Income Statement Data Core Non-Core Total Core Non-Core Total Core Non-Core TotalTotal Revenues $ 107,513 $ 4,700 $ 112,213 $ 102,549 $ 9,728 $ 112,277 $ 94,159 $ 19,608 $ 113,767 Less: Operating costs 38,702 2,603 41,305 34,910 4,551 39,461 35,453 7,406 42,859 Net operating income 68,811 2,097 70,908 67,639 5,177 72,816 58,706 12,202 70,908

Less: General & administrative expenses (excluding equity-based compensation expense) 13,771 2,191 15,962 14,005 3,028 17,033 12,831 5,128 17,959 Adjusted EBITDA 55,040 (94) 54,946 53,634 2,149 55,783 45,875 7,074 52,949

Less:

Equity-based compensation expense 3,961 — 3,961 3,999 — 3,999 3,245 448 3,693 Interest income (66) — (66) (25) — (25) (65) — (65)Interest expense 6,384 2 6,386 8,199 4 8,203 7,946 12 7,958 Tax expense (benefit) from operating results (409) — (409) 178 — 178 (2,454) — (2,454)Non real estate depreciation and amortization 2,670 650 3,320 2,140 1,836 3,976 1,914 2,158 4,072 Preferred stock dividends 7,045 — 7,045 2,248 — 2,248 — — —Operating FFO available to common shareholders & OP unit holders 35,455 (746) 34,709 36,895 309 37,204 35,289 4,456 39,745

OFFO per share 0.61 (0.01) 0.60 0.64 0.01 0.64 0.62 0.08 0.70

Fully diluted weighted average shares outstanding 58,251 58,251 58,251 58,080 58,080 58,080 56,833 56,833 56,833

Adjustments:Transaction, integration and impairment costs (901) — (901) (653) — (653) (1,114) — (1,114)Restructuring costs — (13,737) (13,737) — (11,430) (11,430) — — —Debt restructuring costs — — — — — — — — —

Tax benefit associated with restructuring, transaction and integration costs — 571 571 — 41 41 — — —Real estate depreciation and amortization (34,023) (556) (34,579) (33,093) (750) (33,843) (30,385) (852) (31,237)Preferred stock dividends 7,045 — 7,045 2,248 — 2,248 — — —Net income (loss) $ 7,576 $ (14,468) $ (6,892) $ 5,397 $ (11,830) $ (6,433) $ 3,790 $ 3,604 $ 7,394

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